By Kyle Peschler
From the July / August 2024 Issue
In November 2023, the Plastics Industry Association (PLASTICS) released its annual “Global Trends” report, and the association leadership shared an overview of the global market for plastics.
“According to the World Trade Organization (WTO), global trade volume expanded by 2.7% in 2022. The remarkable 9.7% growth in the U.S. plastics industry’s trade volume for 2022, surpassing global merchandise trade, underscores the strong global demand for plastics,” said Dr. Perc Pineda, PhD, PLASTICS’ Chief Economist.
“The U.S. plastics industry remaining a key player in the global plastics trade shows the importance of our industry and the essential nature of plastics,” said PLASTICS President and CEO, Matt Seaholm. “Our members continue to innovate and invest in new ways to make products even better and more sustainable, while continuing to provide essential materials that improve lives across the globe.”
The PLASTICS “Global Trends” report found that U.S. plastics industry exports rose 11.8% and imports rose 7.2%. The overall plastics trade deficit fell to $7.4 billion in 2022 from $10.0 billion in 2021 as the global economy continued to recover from the pandemic in 2020.
Also, The U.S. plastics industry had its largest trade surplus with Mexico of $11.0 billion, followed by Belgium ($2.9 billion), Brazil ($2.4 billion), the Netherlands ($881 million), and Singapore ($854 million).
Meanwhile the petroleum industry—also known as the natural oil and gas industry—has made a commitment to meet market demands with the rise of alternate energy sources as well. The petroleum industry pursues the latest technology and strategies to deliver energy while also protecting public health and the environment. Every natural gas and oil project is designed, managed, and operated to address environmental impacts and protect species, habitats, and groundwater, according to the American Petroleum Institute.
Clean water is considered by the petroleum industry. Natural gas and oil companies look at the surface water quality, promote soil and groundwater research, water conservation, prevention and response for oil spills and clean water groups that address the issues concerning water quality due to industry impacts.
The petroleum industry has made consistent efforts to help in the fight against climate change while also finding ways to be more energy efficient. Here are locations offering advantages for companies involved in plastics and petroleum.
Odessa, TX: Liberty Energy Brings Headquarters
When hydraulic fracking giant Liberty Energy began looking for its next expansion location, CEO Chris Wright knew the property had to tick several important boxes.
The company needed a prime work site with room for growth, a supportive business environment and skilled local workforce, plus easy access to highways and Interstates.
Wright, along with representatives from the Odessa Development Corporation (ODC), Odessa Chamber of Commerce and City of Odessa, broke ground on the company’s new regional headquarters in March.
“Liberty is excited about this new $50 million facility,” Wright told the crowd gathered there. “We are in the business of bettering human lives, and there is no better place to make that happen than in Odessa, Texas, the heart of the Permian Basin.”
Located in Odessa’s Leeco Industrial Park, the project will include a state-of-the-art 42-bay maintenance workshop, six-bay truck wash facility, 50,000 square foot warehouse, and a two-story office building that will include a training center for employees.
The new facility will allow Liberty to consolidate multiple facilities under one roof and allow for future expansion.
“This will let us more efficiently deliver services,” Wright said. Liberty, which offers oil well completion and wireline services across the United States and Canada, recently added a power innovation division. Wright predicted the company may even sell electricity from the Odessa campus.
In addition to Liberty’s $50 million investment, the ODC awarded the company a five-year agreement with a $2.5 million grant.
Liberty and ODC have a five-year contract, with Liberty receiving a fifth of that $2.5 million at the end of each year that it meets its investment, job creation and salary requirements. Not only does the project retain 1,000 current Liberty employees, but it allows for the creation of 500 more positions, a number of which will be administrative and managerial.
“We are focused on investment in this community and its people, and these public-private partnerships are how we grow. It’s all about the jobs,” ODC Board President Kris Crow said.
Plentiful local and state economic development incentives make relocating and operating a business in Odessa a wise investment.
Available land, sites and buildings are also available to match every need, from the entrepreneurial startup to the growing corporation seeking an expansion site.
Tom Manskey, Director of Economic Development at the Odessa Chamber of Commerce, added that the entire process.
From Liberty approaching the development department to breaking ground—happened in less than a year.
“We want to work with businesses,” Manskey said. “We want to help companies in any way that we can, whether that is helping locate building sites to funding infrastructure, to other tax incentives, Odessa is open for business!”
Construction is expected to be complete by the end of 2025.
For more information, visit www.odessatex.com.
